So we have a new member in the crypto space. His name is mr gox. The crypto trading hamster and he has been trading kryptos since around mid june. So far he was off to a rough start, but now doing better and even out performing at the s p 500 with his cryptocurrency portfolio. So in this video im going to show you guys how this hamster does his crypto trades, why this is actually very important and how this can actually help. You improve your crypto trading strategy and get better return on investment with your crypto trades, make better decisions so uh. This is actually really interesting. This has been in uh mainstream media because its actually outperforming the s p 500. At this point stock market. Not doing that great over the past couple weeks, as you guys know, with all the fear in the space also dragging down the cryptocurrency space, which is actually holding up pretty strong. So as of monday, mr gox has seen gains of 16.6 and the s p. 500 has only gained about four percent over that same time period so 12, better than the s p 500, since about mid june. So pretty much any cryptocurrencies you invested in in the top uh 15 have pretty much all gone up. Of course, some much more than others, but uh how this hamster actually does. This trades is very interesting im going to go over this real quick, so uh goxs owner set up his hamster wheel to rotate through several cryptocurrencies, while spinning and stopping on one uh when gox exits the wheel.

This is called the intention wheel. So after the crypto is selected, gox can run through either the buy or sell decision tunnel in his cage. According to the twitch account that streams uh goxs trades, his choices are sent over to a real trading platform, so theres. Actually, a video of this im gon na quickly show you guys some clips of uh pretty funny so without prior trading experience. Mr gox started his day trading career with a bankroll of just 326 euro with the entire world watching live on twitch. He placed his first buy order for xlm on june 12th, 2021, so how he makes the buy and sell orders is crawling through one of these tunnels. It automatically uh puts through a buy or sell order for whatever cryptocurrency uh its currently on here and then, as you guys, can see anytime. He runs in the wheel. It does scroll through different cryptocurrencies here in the top 20, whatever one it lands on when it gets out. Itll make buyers, sell orders for that cryptocurrency, so thats. Basically, all there is to in the top right here as time goes on. It shows uh the crypto balances uh that it has acquired, and then it does give a summary of the most recent trades as well. So after more than a month of trading, mr gox has placed a total of 95 orders so around an average of three orders per day. He is currently down to 23 euro, with a loss of 7.

3 percent, his original deposit, so thats. The thing this was uh. This video was posted july 25th and the crypto market did bottom around july 20th, so uh definitely a bad time here, which is why the uh mr goxs portfolio was down. He did enter the market still with his initial investment around the end of june, which was actually a good time to get in after the markets crashed and when there was a lot of fear in the market. When you actually got your best entry points so thats. What i do want to talk about as well is why uh this hamster is actually out performing the s p 500 and doing better than some crypto traders as well its because the hamster has no emotion to this. Its just random and sporadic uh, which actually makes for better trading than um many people, would think since they do act out of fear. So that is something i do want to talk about. Here is how to avoid emotional investing. I have gone over this before, but this topic is very important here, so um, if you are investing out of emotion, youre, most likely selling when theres mass fear and panic in the space thats, usually when the market has already dumped. Unless you do sell immediately when bad news does break, but more often than not youre not going to see it until the market is already crashed and then acting out of fear and acting out of emotion is going to have you selling at a loss.

Also, just the opposite: when theres a high level of greed in the markets, people generally dont want to take profits and they think were going to continue going upwards forever. Thats generally, when everyone thinks were going to do another 10x in the markets and everything is extremely bullish. If you look at a fear and greed index, we will be in the high greed level and thats generally, where you want to start considering taking profits on the way up, because nothing goes up forever and if uh, it does continue going up. Thats fine, but if it does crash, then you will have money to actually buy that dip and increase the total amount of cryptocurrency that you have. So this can make for a better trader by reversing this psychology. So investopedia.com does a great job of summarizing. How to avoid emotional investing and why this is so important. I do recommend understanding this as much as possible. Using this reverse psychology and applying it to your entry and exit strategy can make you a much better crypto trader in the long term, which is why i think mr gox actually does so well is because hes not keeping up on the crypto news. He cant make emotional decisions on his trades and its just random and sporadic, which actually does better uh sort of like bots than actual humans that do trade out of emotion, so trading out of emotion is not definitely not a good idea unless you are able to Catch it at the very beginning, then you can make some good trades there, but usually you have to be sitting at a computer doing this full time to be able to day trade like that.

So the key to understand uh, the motivations behind emotional, investing is to avoid both euphoric and depressive investment traps that can lead to poor decision making so uh key takeaways, investing based on emotion, greed or fear is the main reason why so many people are buying at Market tops and selling at market bottoms, so this is the majority of retail investors, as we can see with the crypto charts in general, basically uh the crypto charts here. If we go to crypto global market cap, this is going to directly reflect the emotions of uh retail investors here. So, as we can see, there is mass agreed here in uh end of 2017, when bitcoin went up to 20 000.. Everyone said bitcoin was going to 100 000. At that time everyone was so bullish and then it quickly dropped off as mass panic kicked in uh, pretty much crypto it just wasnt ready. At the time there was long uh transaction times of four hours to send bitcoin. The transaction fees were crazy, twenty dollars to send a bitcoin transaction and even more on uh ethereum with the gas fees. As you guys know, and as we can see here, we have had a mass level of greed. Again, lots of fear kicked into the markets after uh that whole elon musk thing and china flood and all that stuff that did happen, causing the market to bottom on july 20th. Here and things have been getting greedy again and now entering another level of small fear.

With everything in discussion right now, people thinking the stock markets going to crash thats, also affecting kryptos. So this pretty much directly uh reflects human emotion and the general sentiment of emotions of crypto traders. So it is good to really understand this and keeping up in the news you can become a better day trader from this. So very important piece of information here – dollar cost averaging and diversification – are two approaches that investors can implement to make consistent decisions that are not driven by emotion. So very important, especially if you are a new crypto investor dollar cost averaging – is a great way to uh. Develop a long term crypto portfolio, so i do have a video on my dollar cost averaging strategy, which is slightly altered than the commonly known dollar cost average strategy. So basically, i do save up and i buy all the dips doing dollar cost averaging and if you guys do want to check out that full video lots of great in depth information here going over both my entry and exit strategy and how you guys can also Use this to be very successful in the long term just check out the panda video on my channel here called my crypto strategy for huge profits and long term success. If you want to learn even more and uh, develop your crypto knowledge further, i do have a crypto guides playlist here around 20 videos of great information on many different topics in the nft and crypto space, so very important by uh implementing uh this strategy on how To avoid uh emotional, investing into your entry and exit strategy, youre gon na be much more successful in the crypto space.

Ive been doing this for years and overall uh. My return on investments have been huge uh just by not acting out on emotion, uh in the general markets. So, by doing this, youre actually going to flip things around and youre actually gon na get excited for big market crashes, where you can pick up some of the best deals and, if youre taking profits on the way up. While everyone is greedy and theyre not wanting to sell thinking, theyre gon na do another 10x youre taking the profits uh out as you go up, then you do have a fund along the side, especially if youre saving up from every paycheck that youre getting as well. Youre gon na have a big fund for buying these massive dips every so often and over time. That really does add up by picking up great deals and all these major dips instead of buying uh when everyone else is buying when theres mass greed in the space and everyone is extremely bullish. If you are at a peak price and youre buying a crypto its more likely than not going to have a correction at some point, so if you guys do end up acting at a greed and buying at a peak price, you should be willing to hold it Very long term understand the project, know what theyre building and have faith in that project in the long term, because more likely than not it will have a correction, and you may have to wait quite a while before you break even or youre in some good profit.

So, for instance, i do want to talk about avalanche as a good example for this. So if you guys have been keeping up on avax, it has had a huge rally recently going from around 10 to 15 here um at the market bottom beginning of august. Here to now ratify the x over 60 dollars even peaking out over 70 dollars at one point: huge return on investment in a short period of time, so anytime, theres mass fear in the markets, people that got in uh just at the beginning of august, theyre up Massive so theyre going to be more willing to take profit off the table, which will uh crash the price here pretty quickly. If the theory is bad enough, so you do have to be aware of that as well, and if you do buy at a peak price here, like we saw avalanche rallying at the beginning of february, here peaked out. A lot of people did buy this peak price. Here because they thought this was just going to continue rallying it had a massive correction down to 25, pretty much a 50 crash here and then uh. You could have had multiple uh great entry points here to buy major dips, which i was doing and then i continued buying throughout this entire market crash as well, and i did get one last good purchase here around 10 to 15. So a good example of how i use my entry and exit strategy to pick up every major dip here along the way for the past six months, buying every major dip in avex paid off huge.

As you guys can see. I did good research into the project. I believed in it for the long term, so i was willing to continue buying the dips as we went instead of just going all in at a peak here, because there was massive fomo. Everyone was talking about the project and then uh you wouldnt have even been in profit again until the markets started rallying again around end of august here and even at the peak here, you wouldnt be in too much profit if you did buy around fifty in early February, so just something to think about and how you can alter your entry and exit strategy. I do recommend watching my pinned video on my channel uh. If you do want to fine tune your strategies and get better return on investment in the long term, i do recommend that so thats it for todays crypto video. I hope you guys found it useful and enjoyed it. I do recommend following me over at twitter as well at grny crypto. If you guys want more regular updates, i post breaking news as it happens, i post other thoughts and uh some good nft and all coins. I do come across as well. If you do want uh more time, sensitive information, i do recommend being on crypto twitter, especially if youre getting into nfts. This is a great place to get started to get integrated into the community. Youll probably meet some great people as well, and if you do want to find stuff um that is a hidden gem and you want to be ahead of the herd, definitely need to be on crypto twitter and be following uh.

Some good accounts so thats it for todays video. I hope you guys found it useful. I do appreciate if you guys liked the video comment below. Let me know what you guys thought about this video and, if you guys share this anywhere, that does help the video as well. You can also subscribe and hit the bell if you want to be notified for my regular crypto videos again.

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